AD Ports Group and Red Sea Port Authority initial 15-year concession agreement to boost cruise tourism in Egypt
AD Ports Group, a leading facilitator of global trade, logistics, and industry initialled a 15-year concession agreement with the Red Sea Port Authority (RSPA), to operate and manage three cruise terminals at Safaga, Hurghada, and Sharm El Sheikh ports, according to the company's release. The agreement also encompasses the renovation of the Sharm El Sheikh terminal, with the ultimate aim of enhancing the cruise tourism experience in Egypt. A definitive concession agreement is expected to be concluded in the first quarter of 2024, subject to regulatory approvals.
The collaboration will see AD Ports Group investing USD 3 million over 15 years in the management and operation of the three cruise terminals to provide new services, improve access for cruise operators and add new itineraries through the Group’s cruise terminal network in the red sea. This will in turn strengthen AD Ports Group’s cruise business in the Red Sea region, supporting volumes of cruise passengers and elevating passenger and cruise experiences.
This latest partnership comes in the wake of the signing of a definitive concession agreement between AD Ports Group and RSPA for the development and operation of a multi-purpose terminal at Safaga Sea Port. This collaboration will see an investment of US$ 200 million over 3 years, aimed at developing a state-of-the-art facility within the strategic location of the Red Sea and will be the first internationally operated port serving the Upper Egypt region.
In 2023, AD Ports Group inaugurated the Aqaba Cruise Terminal, the first-of-its-kind facility in Jordan. This new addition to the Group’s red sea portfolio forms part of its cruise expansion strategy aimed at elevating passengers’ cruise experience, globally.